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Leaders in juvenile crime

Author

Listed:
  • Carlos Díaz

    (UCU - Universidad Católica del Uruguay [Montevideo, Uruguay])

  • Eleonora Patacchini

    (Cornell University [New York])

  • Thierry Verdier

    (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PUC-Rio - Pontifícia Universidade Católica do Rio de Janeiro [Brasil] = Pontifical Catholic University of Rio de Janeiro [Brazil] = Université catholique pontificale de Rio de Janeiro [Brésil], CEPR - Center for Economic Policy Research)

  • Yves Zenou

    (Monash university)

Abstract

This paper presents a new theory of crime where leaders transmit a crime technology and act as a role model for other criminals. We show that, in equilibrium, an individual's crime effort and criminal decisions depend on the geodesic distance to the leader in his or her network of social contacts. By using data on friendship networks among U.S. high-school students, we structurally estimate the model and find evidence supporting its predictions. In particular, by using a definition of a criminal leader that is exogenous to the network formation of friendship links, we find that the longer is the distance to the leader, the lower is the criminal activity of the delinquents and the less likely they are to become criminals. We finally perform a counterfactual experiment that reveals that a policy that removes all criminal leaders from a school can, on average, reduce criminal activity by about 20% and the individual probability of becoming a criminal by 10%.

Suggested Citation

  • Carlos Díaz & Eleonora Patacchini & Thierry Verdier & Yves Zenou, 2021. "Leaders in juvenile crime," PSE-Ecole d'économie de Paris (Postprint) halshs-03956437, HAL.
    • Handle: RePEc:hal:pseptp:halshs-03956437
    DOI: 10.1016/j.jebo.2021.10.034
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    Cited by:

    1. Rose, C.; & Williams, J.; & Bretteville-Jensen, A.L.;, 2024. "Do Peers Support or Subvert Recovery from Substance Use Disorders," Health, Econometrics and Data Group (HEDG) Working Papers 24/18, HEDG, c/o Department of Economics, University of York.
    2. Lindquist, Matthew J. & Zenou, Yves, 2019. "Crime and Networks: 10 Policy Lessons," IZA Discussion Papers 12534, Institute of Labor Economics (IZA).
    3. Aristide Houndetoungan, 2025. "Quantile Peer Effect Models," Papers 2506.12920, arXiv.org.
    4. Hanbat Jeong, 2024. "Dynamic Spatial Interaction Models for a Resource Allocator's Decisions and Local Agents' Multiple Activities," Papers 2411.13810, arXiv.org, revised Jul 2025.

    More about this item

    Keywords

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    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • D85 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Network Formation
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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